$PBI presents an asymmetric risk-reward turn around trade. NFA and DYOR. Positions below.
Most people have no idea what this company is but get their packages delivered by them every week :)

Company Overview

Pitney Bowes, Inc. is a global shipping and mailing company, which engages in the provision of technology, logistics, and financial services. It operates through the following segments: Global Ecommerce, Presort Services, and SendTech Solutions
- The Global Ecommerce segment is composed of cross-border solutions, domestic parcel, and digital delivery services
- The Presort Services segment offers sortation services to qualify large volumes of first-class mail, marketing mail, and bound and packet mail for postal work-sharing discounts
- The SendTech Solutions segment provides physical and digital mailing and shipping solutions, financing, services, supplies, and other applications

Read more here: Investor Relations Page

Logistics Center

some partners (also work with USPS, UPS, etc.)

Key Developments

- February 2024: Insiders start buying hand over fist as the turn around strategy began and new leadership was instituted
- May 2024: they appointed interim CEO Lance Rosenzweig, an experienced leader with a background in driving efficiencies and simplifying corporate structures. He was appointed as permanent CEO in October
- Oct 30, 2024: CEO bought 160,205 shares for a total price of $1,155,078

yes i used a crayon

Financial Overview

^\ still in the early stages of the turn around, YTD they have made significant improvements to costs and profitability)

Q3 2024 ER

Cost Cutting Turn Around Strategy

$PBI is focused on 4 strategic initiatives, the main 2 which are highlighted here:

(1) Paying down high-cost debt. They've already started to execute this (News Room) resulting in over $11M in annual savings and boosting 2025 EPS by $0.06. They have a lot more room to reduce debt and are making this the top priority
(2) Selling off Ecommerce Segment. The Global Ecommerce segment had been struggling to achieve profitability over the past several years in the face of macroeconomic and industry headwinds (https://www.investorrelations.pitneybowes.com/news-releases/news-release-details/pitney-bowes-announces-value-maximizing-exit-path-global). Reducing this will help streamline costs, increase profitability, and allow for the focus on the core business

Q3 2024 ER

Chart Analysis

- Continues to respect the trend line formed near the low of the year
- Continues to execute on their cost cutting/turnaround strategy

https://preview.redd.it/utqxfb1lxb2e1.jpg?width=2848&format=pjpg&auto=webp&s=29b86c478ec38e9c496744aa63e93bde0d113a89

https://preview.redd.it/9m5y3k1lxb2e1.jpg?width=2853&format=pjpg&auto=webp&s=35625741de20461955a46575eaa88801b904a069

Price Targets Positions

* bought in around May and sold, rebuilding the position again
* $PBI also pays a lovely 2.6% dividend!!

- January 2025: ~$8.70
- March 25: ~$9.50
- Adding $10 calls for March and leaps

positions